Capella Granted Killero West Exploration Permit and Provides Update for Maiden Drill Program at Killero East Copper-Gold Target, Northern Finland
Capella Granted Killero West Exploration Permit and Provides Update for
Maiden Drill Program at Killero East Copper-Gold Target, Northern Finland
VANCOUVER, BC
,
Dec. 5, 2023
/CNW/ -
Capella Minerals Ltd
(TSXV: CMIL) (OTCQB: CMILF) (FRA: N7D2) ("Capella" or the "Company") is pleased to
announce that it has been granted an additional exploration permit covering the Killero West copper-gold target within the Company's highly-prospective Central
Lapland Greenstone Belt portfolio,
Northern Finland
. The Killero West permit complements the five exploration permits which were previously granted in May,
2023, including the Killero East permit where exceptional historical Base of Till ("BoT") copper-gold anomalies were generated by
Anglo American
plc (Figure 1;
Company News Release dated
May 30, 2023
).
Capella currently expects scout core drilling of the priority Killero East target to commence in late Q1, 2024; this drill program would represent the first ever drill
testing of the historical BoT copper-gold anomalies. Capella is also currently evaluating an initial diamond drill program on the Saattopora West target - the
northwestern extension to Outokumpu Oy's former Saattopora gold-copper mining operation - during the northern 2024 summer.
Figure 1. Location of the newly-granted Killero West permit plus the five exploration permits
granted in May, 2023 (Saattopora W, Keisunselka, Jolhikko,
Katajavaara, and Killero East) in the Northern Finland Gold-Copper Project. (CNW Group/Capella Minerals Limited)
Figure 1.
Location of the newly-granted Killero West permit plus the five exploration permits granted in May, 2023 (Saattopora W, Keisunselka, Jolhikko,
Katajavaara, and Killero East) in the Northern Finland Gold-Copper Project.
1
References made to nearby mines and analogous deposits provide context for the Northern Finland Gold-Copper project but are not necessarily indicative that these projects host similar tonnages or grades of mineralization.
Capella currently holds a 70% interest in the Northern Finland Copper-Gold project through a Joint Venture ("JV") agreement signed with ASX-listed Cullen
Resources Ltd (ASX: CUL)("Cullen")(see Company News Release dated
August 24, 2021
).
Eric Roth
, Capella´s President and CEO
commented: "I am very pleased to be reporting today the granting of our Killero West exploration permit, which lies
adjacent to our priority Killero East target and which covers a second area of significant BoT copper-gold anomalies generated by
Anglo American's
regional
exploration programs over a decade ago. Indeed, given that BoT values over 110 parts per million ("ppm") copper are considered to be anomalous in this part of
the Central Lapland Greenstone Belt, the Killero East values up to 5,962 ppm copper are truly exceptional. Given that drilling is optimally undertaken here under
cold winter conditions, we currently expect first drilling of the Killero East anomaly to occur in March, 2024. I look forward to keeping all stakeholders updated as
our exploration programs advance."
Killero East and West Target Areas
The Company's priority Killero East target area has been defined through a combination of: i) BoT copper-gold anomalies derived from previous
Anglo American
plc exploration programs
2
, and ii) interpretation of data from the Company´s own high-resolution drone magnetic survey completed in April, 2022. The historical
BoT data confirm an extensive copper-gold anomaly associated with a major NE-trending fault/shear zone, with this deformation zone also displacing interpreted
E-W trending mafic to ultramafic volcanic and/or intrusive rocks (Figure 2). Initial drilling at Killero East will be designed to vector in to potential sources of the
copper-gold anomalism.
Similarly, the Killero West target areas contains significant intervals of anomalous (>110ppm Cu) BoT values which appear to be broadly associated with
mafic/tholeiitic volcanic rocks and which have also been cross -cut by later-stage NE-trending faults / shear zones (albeit with smaller offsets than observed in
Killero East).
Figure 2. Killero E target areas as defined by combined geochemical (BoT) and geophysical (drone magnetic survey data) anomalies. (CNW Group/Capella
Minerals Limited)
Figure 2.
Killero E target areas as defined by combined geochemical (BoT) and geophysical (drone magnetic survey data) anomalies.
2
Historic geochemical results quoted for Killero are derived from GTK (Geological Survey of Finland) datasets. Whilst Capella has not performed sufficient work to verify the published data reported, the Company believes this information to be considered reliable and relevant.
Aside from the Killero East / West and the Saattopora NW extension permits the remaining three exploration permits cover the following targets:
Keisunselka – interpreted Au mineralization in cross-cutting structures in deformed mafic volcanic units. Concept is expected to be tested through BoT drilling
in late Q1, 2024.
Jolhikko – zone of intense structural complexity with potential for orogenic-style gold mineralization. Target is also expected to be tested through BoT drilling
in late Q1, 2024.
Katajavaara – potential SE extension of mineralization outlined in Outokumpu's former Saattopora Au-Cu mine.
All of the Company´s target areas lie adjacent to the Sirkka thrust zone, a well-mineralized structural corridor in the Central Lapland Greenstone Belt which hosts
a number of recent exploration discoveries (such as Rupert Resources' Ikkari gold project
1
). The granted exploration permits allow the Company to undertake
more detailed field evaluations - including ground geophysical surveys and diamond drilling - within the individual target areas. Engagement with local communities
/ stakeholders on upcoming work programs will be a priority going forward.
Qualified Persons and Disclosure Statement
The technical information in this news release relating to the Northern Finland Gold-Copper project has been prepared in accordance with Canadian regulatory
requirements set out in NI 43-101, and approved by
Eric Roth
, the Company's President & CEO, a Director, and a Qualified Person under NI 43-101. Mr. Roth
holds a Ph.D. in Economic Geology from the University of
Western Australia
, is a Fellow of the Australian Institute of Mining and Metallurgy (AusIMM) and is a
Fellow of the Society of Economic Geologists (SEG). Mr. Roth has 35 years of experience in international minerals exploration and mining project evaluation.
On Behalf of the Board of Capella Minerals Ltd.
"Eric Roth"
___________________________
Eric Roth
, Ph.D., FAusIMM
President & CEO
About Capella Minerals Ltd
Capella is engaged in the acquisition, exploration, and development of quality mineral resource properties in favourable jurisdictions with a focus on European
base and battery metals projects.
On
October 17, 2023
, the Company entered in to a binding asset sale agreement with NickelX, a private Norwegian mining company, through which it will divest
its 100% interests in the Hessjøgruva, Kjøli, and Lokken projects copper-zinc-cobalt projects in Trøndelag, central
Norway
. NickelX currently holds 100% interests
in four nickel exploration projects in northern
Norway
(namely Hamn, Palfjellet, Birgivi, and Envold) and is in the process of undertaking an Initial Public Offering
("IPO") on
Oslo's
Euronext Growth Exchange with the objective of becoming
Norway's
leading independent battery metals company. The total consideration of the
transaction to Capella, payable upon completion of the NickelX IPO, is
CAD 7 million
and includes i)
CAD 5 million
in cash and ii)
CAD 2 million
in NickelX shares,
which Capella intends to distribute to its shareholders on a pro-rata basis.
The Company continues to explore the Northern Finland Gold-Copper project in the Central Lapland Greenstone Belt, together with JV partner Cullen Resources
Ltd (ASX: CUL). A total of six exploration permits have now been approved, including the priority Killero East Cu-Au target. In central
Finland
, the Company´s
focus is on the discovery of lithium and rare-earth element deposits at both its Perho reservation, in addition to an extensive package of properties in the broader
Keliber district through a JV with European Energy Metals Corp (formerly Hilo Mining)(TSXV: FIN).
Capella also retains exposure to exploration success in precious metals projects through its active Canadian Joint Ventures with Prospector Metals Corp. (TSXV:
PPP) at Savant (
Ontario
) and Agnico Eagle Mines Ltd (formerly Yamana Gold Inc.)(TSX/NYSE: AEM) at Domain (
Manitoba
). The Company also holds a 49%
interest in the Sierra Blanca low sulfidation gold-silver project in
Santa Cruz
,
Argentina
, which is currently being explored by Austral Gold Ltd (TSXV: AGLD; ASX:
AGD).
Cautionary Notes and Forward-looking Statements
This news release contains forward-looking information within the meaning of applicable securities legislation. Forward-looking information is typically
identified by words such as: believe, expect, anticipate, intend, estimate, postulate and similar expressions, or are those, which, by their nature, refer to future
events. Such statements include, without limitation, statements regarding the future results of operations, performance and achievements of Capella, including
the timing, completion of and results from the exploration and drill programs described in this release. Although the Company believes that such statements are
reasonable, it can give no assurances that such expectations will prove to be correct. All such forward-looking information is based on certain assumptions and
analyses made by Capella in light of their experience and perception of historical trends, current conditions and expected future developments, as well as other
factors management believes are appropriate in the circumstances. This information, however, is subject to a variety of risks and uncertainties and other
factors that could cause actual events or results to differ materially from those projected in the forward-looking information. Important factors that could cause
actual results to differ from this forward-looking information include those described under the heading "Risks and Uncertainties" in Capella's most recently
filed MD&A. Capella does not intend, and expressly disclaims any obligation to, update or revise the forward-looking information contained in this news
release, except as required by law. Readers are cautioned not to place undue reliance on forward-looking information.
Neither the TSXV nor its Regulation Services Provider (as that term is defined in the policies of the TSXV) accepts responsibility for the adequacy or accuracy
of this release.
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SOURCE
Capella Minerals Limited
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For further information:
Capella Contacts, Eric Roth, Email: [email protected]; Karen Davies, +1.604.314.2662
CO: Capella Minerals Limited
CNW 09:00e 05-DEC-23